Want to know how many sales a given Amazon Kindle rank represents? Here’s a quick and dirty formula:
100,000/rank # = sales per day
In other words, if a book’s rank is #100, then 100,000/100 = 1000 sales/day. If a book’s rank is #1000, then 100,000/1000 = 100 sales/day. At #100,000, then 100,000/100,000 = 1/day.
The formula breaks down at the extremes. It probably overestimates the sales of the top 100 books by a little, and the #1 book in a given day probably sells much more like 10,000/day than 100K, although as ever, at the top, it varies tremendously. And at #1,000,000, that’s not a book that sells 1 copy/10 days. We’re talking about a book that might not have sold more than 1 copy ever, or at least within the last 6 months.
Overall, though, it’s a pretty good rule of thumb. It’s probably a little conservative–tack on 10-20%, and you’re probably closer to the truth for most ranks–and it also depends on factors like velocity of sales in the last 0-48 hours, so books that have recently been boosted by a sale may be +/- 50% of the sales numbers or more. Also, a book that has hung out at a certain rank for a while needs fewer sales to maintain that ranking long-term.
Treat it as a guideline, though, and it’s pretty close to the truth. Does that mean you could extrapolate it to estimate how many ebooks Amazon sells per day? Yes. You totally could.
In one sense, it isn’t news that Amazon wants the payment to authors for Select borrows to be about $2.00. The program is now over a year old, and in that time, the rate has always been pretty close to that mark. But this December, a lot of people thought things might be different. Amazon announced that they were adding a bonus payment to the Select pool, doubling their borrows budget to $1.4M. There was talk that borrows might pay $3 or even $4 apiece. I didn’t think it would get that high, but I figured it would be a big enough pot to keep borrows in the $2-2.50 range.
The December 2012 borrows rate was recently announced. The payout? $1.88.
Well. A bit skimpy. But how does that compare to the history of the program? Here’s the per-borrow payment each month since Select started.
12/11 – $1.70
1/12 – $1.60
2/12 – $2.01
3/12 – $2.18
4/12 – $2.48
5/12 – $2.26
6/12 – $2.08
7/12 – $2.04
8/12 – $2.12
9/12 – $2.29
10/12 – $2.36
11/12 – $1.90
12/12 – $1.88
Over the course of the program, Select has paid an average monthly rate of $2.07 per borrow. Its lowest payout was $1.60 in January 2012; its highest was $2.48 in April 2012. The payment rate has never been more than 20% lower than $2.00 or 25% higher than $2.00. Trend-wise, the per-borrow payment has never increased more than 3 months in a row, and it’s never decreased for more than 3 months in a row.
Based on these numbers, I think we can conclude a few things about Amazon.
- Amazon wants borrows to pay about $2 apiece
- Amazon doesn’t want to set the borrow rate at a hard $2 apiece
- Amazon is really good at modeling consumer behavior
- They’ve done better over the holidays than expected
Rad. All this raises a few immediate questions.
Why $2?
The glib economics answer is Amazon believes $2 is the rough price point at which enough authors will stay enrolled in Select to give Prime customers an enjoyable selection of books and thus incentivize them to re-up next time, too. As for how Amazon reached that $2 figure in the first place, I don’t know. The obvious answer is that $2 is about what an author would be paid for a sale of a $2.99 book at a 70% royalty, making a borrow just as good as a sale.
Why not a hard $2 monthly payment?
I think there are several reasons for this. For one thing, a $600,000 or $1,500,000 pot looks a lot more enticing to authors than $2/borrow. There’s a bit of a gambling element to it. Sure, borrows may only have been $2.04 this month, but what if they go up to, say, $2.40 next month? And what if I can get more of them than I did last month? That could really add up. *click, enrolled*
For another thing, maybe Amazon doesn’t have perfect confidence in their predictions of customer behavior. If they set borrows at $2, and next month Fire sales explode and they wind up with double the borrows they had last month, Select would cost them twice what they had budgeted. Amazon’s got riches for days, so maybe an extra $200K or $600K is no big deal, considering it’s a cost incurred by selling all those new Kindles/getting all those new Prime subscriptions, but even Amazon has budgets.
But the most important thing, I think, is that Amazon loves complex systems. They don’t want to lay down rules from above, they want to build dynamic ecosystems, because if you build them right, such systems are self-correcting–and provide you with all kinds of awesome data. For instance, if you set the borrow payment at $2, and authors slowly decide that’s insufficient, they’ll unenroll. The selection of titles in the Kindle Online Lending Library will shrink, making it less attractive to Prime members, leading to fewer subscriptions and less $$$ for Amazon.
But if you make the per-borrow payment dynamic, then you have a self-correcting element to push the system back to equilibrium. Maybe $2 isn’t worth enrolling, but as there are fewer books sharing the pot and/or fewer Prime customers borrowing them, the borrow payment creeps up. Maybe at $2.25, a few more authors decide it’s worth their while to join up. At $2.50, even more jump ship for Select. The KOLL has more titles, making it more exciting for prospective Prime customers, leading to (hopefully) a resurgence in subscriptions. And then as more authors and Prime customers join up, the per-borrow payment shrinks again, but who cares? You’ve got fresh blood in the program. To leave it, they’re going to have to a) decide it’s no longer worth it and b) take action to get out of it. Until they do, you’ve got authors’ content and customers’ money.
And in the meantime, you get to collect all this awesome data about how all these groups react to the changes in the system.
Because Amazon doesn’t know that $2 is the ideal borrow payment. Maybe authors will flood Select with titles for just $1/borrow. If so, great news for Amazon. They can offer even better service to their customers at little or no extra cost to themselves.
Why might Amazon have had better holidays than they anticipated?
I don’t know that for a fact. But look at the numbers above. To date, the only months the borrow payment rate has dipped below $2 are in November, December, and January–the leadup to Christmas, Christmas itself, and the post-Christmas boom. If they wanted borrows to be around $2, then they’ve had a few more Prime customers both holiday seasons than they predicted.
What does this mean for authors going forward?
Well, that would seem like good news. Because a lot of those new Prime members have their membership because they bought a Kindle Fire. And new Kindle Fire owners means more people around to buy ebooks.
It also means the Select program is pretty stable. There are still a lot of authors in the program and a lot of Prime members borrowing their books. From Amazon’s perspective, this is just dandy. And if everything’s working as they like, it’s less likely that they’re going to put out a lot of shiny new incentives to the Select program.
Note: there is a big difference between “less likely” and “won’t”. However well Select is doing for Amazon, the bloom is off the rose. They could decide to do something about that at any time.
But the program looks stable, and it looks like a winner. I’m having a hard time typing this, because I feel like there are good odds I’ll soon be proven hilariously wrong at any moment, but don’t count on any big changes to the program soon.
And in the meantime, expect to be paid about $2 per borrow. Amazon appears to want to keep it there–and Amazon is pretty good at getting what they want.
Much like punching a crocodile, indie publishing is simultaneously exhilarating and terrifying. Exhilarating, because hey, you hit “publish” this morning and perhaps tomorrow the next thing you will hit is the ceiling after you discover you sold a million copies overnight. At the very least, it is exhilarating because you’ve taken control.
At the same time, it is utterly, skin-grippingly terrifying, because it’s such a big, big world, and when there are 1,504,243 titles and counting in the Kindle store alone, who the hell knows how a book ever sells a single copy in the first place.
When I put my first book out, I didn’t have the faintest idea what to do with it. Joe Konrath said I should join Kindleboards, so I did that. I posted about my book there and nothing happened. When my next books came out, I did the same thing, and more nothing continued to happen. It took me a full 12 months before all that nothing began to turn into something.
If I were starting my indie author career over right now, if I had my first book all ready to go out and conquer the world, here’s what I might do instead.
First, I would price my book at $2.99 or $3.99. This is not based on scientific research over here. But $0.99 is gaining a stigma and, from what I’ve absorbed elsewhere, $3.99 is the lowest price at which many readers will impulse-buy. When you’re just starting out, you’ve got nothing. No reviews. No also-boughts pointing back to your book. No recommendations from a reader’s trusted friend. There is nothing to break down a buyer’s resistance to buying your book, so you want to keep that resistance as low as possible with a bargain price. $2.99-3.99 seems to be low enough for that resistance to frequently be overcome by no other tools than your cover, your concept, and your sample.
Second, I would enroll my book in Amazon’s Select program.
This is a controversial decision. Well, it’s not that controversial. It’s about as controversial as all the thrillers listed on Amazon with subtitles including the word “CONTROVERSIAL,” which is to say that a few of us nerds might care, but nobody else gives a damn. Anyway, there is a mild controversy around Select. A lot of writers don’t like the idea of being exclusive to Amazon. A lot of writers think giving away your book devalues it and all books, and that it leads to temporary, inorganic gains that will soon dry up and blow away. What these authors are after is a long-term organic strategy of distributing to as many markets as possible and building up many different revenue streams that add up to a steady and sustainable income.
Well, good luck, guys.
That’s a little snarkety. But the thing is, every storefront presents you with a different set of tools to get your book in front of readers. And Amazon’s Select program is the very strongest tool of them all.
Quick aside: you should probably attach the phrase “In my opinion” to every sentence here. It will save us all a lot of time and anguish.
But here are some facts, or at least the facts as I have experienced them. If you push your book to Barnes & Noble, it will appear on the new releases list if readers sort by date, and there may be a week or two in which people see it. If you distribute to iTunes, it may not show up anywhere at all. Same with Kobo. It will be visible on Smashwords’ new releases for about a day before it’s buried, and then people are going to have to search for it to find it.
In other words, the window for your new book to take off purely organically is about 1-7 days long. If those 1-7 days pass and you haven’t sold enough to start making bestseller lists and generating also-boughts and all that–which you won’t–your book will be buried by all the new releases.
And that is where Select comes in.
For the record, I’m not an unrepentant Amazon/Select cheerleader. Of my 9 titles, only 2 are currently in Select, and I might not leave them there for another term. The program is not what it used to be. And it’s not a magic bullet. But it still has its uses.
Let us say you have hit “Publish.” Your book goes live. Shoppers can now find it by browsing the new releases or by searching for very specific terms and keywords, where your book will probably be listed as the #1,387th result. How else do you get readers to see your book?
One method, popularized widely by Amanda Hocking, is to submit your book to book bloggers. These people will review your book and then share it with their readership. This is a free and relatively simple way to get your book in front of people. But there are a lot of problems with this process. Another preface: book bloggers are great. I’ve known some spectacular people in the field who have really brightened my day with their devotion to finding new books and their enthusiasm in sharing them.
But you can’t count on book bloggers as a release strategy. They are overwhelmed with review requests. It may be weeks or months after you write to them before they can get to your book. If you’re chummy and entrepreneurial enough, maybe you can send them an ARC and schedule a review for around the time of your book’s release, but that means you have to wait to release until they’re ready, and waiting to release sucks. Anyway, that’s assuming the review will be good, which is no sure thing, even if your book is a professional product. Their opinions are highly subjective, after all. I’m a movie reviewer. A paid one who works for a newspaper. I hate all kinds of professionally-made movies that other people love dearly because reviews are nothing more than opinions, which always, always vary.
To summarize, then, reviews from blogs are likely to be slow to arrive, there’s a chance the review will hurt your book (just try selling it when it’s got a single two-star review), and even if the review is positive, the blogger’s audience probably won’t be all that big. If everything breaks right, it might be good for a few sales. Having a positive review out there may also help future shoppers decide to purchase your book. Seeking blog reviews isn’t a dumb thing to do, then, and it can help build up your long-term infrastructure, but it’s not going to do much for you on Day 1.
Anyway, things are different from when book bloggers gave Amanda Hocking the push that helped break her out. They’re all overwhelmed. You can’t hit enough of them to make much if any difference. Personally, the entire submission process feels too much like the agent hunt. I don’t submit to book bloggers anymore. Unless you write in YA, where they still seem to have some influence, I wouldn’t burn too much time on that route.
What do you do instead? It’s probably worthwhile to get your book listed on GoodReads. I am not intricately well-versed in how Goodreads runs, but if you have librarian status, or know someone who does, you should be able to add your book easily. If you can’t, it’s no big deal–someone will get to it eventually–but Goodreads seems to be a fairly important part of developing your book’s infrastructure, a concept I’ll get to in a bit.
But perhaps the most important thing you can do after hitting publish is this: make your book free. Right out of the gate. Give away the hell out if it. Schedule it for a two-day run, sit back, and see what happens.
“What happens” probably won’t be much. I think it’s vitally important to set the right expectations at this stage, and for most beginning authors, the reality is you’re going to sell very little right off the bat. In concrete terms, you’re doing very well if you’re selling 1/day. Many brand-new books from first-time authors with no platform can easily go days or weeks or even months between sales. A month from now, your sales column might consist of a number between 1-9, and that is perfectly okay.
At this phase, that means every single sale is a success. Every sale means someone stumbled over an unknown book and thought it looked interesting enough to pay money for. Do you know how hard it is to make that happen? Remember: 1,504,243 ebook titles and counting. As a brand-new book, the only place you’re showing up is in the new releases list and in keyword searches, and even then, anyone who found your book is either obsessive or almost superhumanly dedicated to finding new books, because they probably had to dig through dozens of pages before they happened upon yours. In terms of its present visibility, your book may have a “Buy” button on its page, but in many ways it still hasn’t really been published.
So cheer every day you do get a sale, but try not to be surprised or disappointed when you don’t. It’s probably going to be some time before your book starts traveling down some of the main avenues to discoverability.
And that’s why we’re going free right off the bat–to try to kickstart a couple of these avenues.
Again, don’t expect much from your first free run. A few hundred downloads on your first day is a pretty good outcome; my brand-new novels have typically pulled 200-500 on their first day free. If you’re in that range, hooray! I’d let it run free for a second day just in case it wants to catch fire, but it’ll probably give away fewer copies than it did the day before, which is perfectly normal.
Let’s address the exceptions real quick. If your book does start giving away a ton of copies–I dunno, 2000 or more–I would definitely add a third day, and keep adding days for as long as it keeps getting downloads. If it gets very few downloads–like, 50 or fewer over those two days–take a close look at your book’s presentation, its cover and blurb. If they look good, maybe you just ran into some bad luck, but this could be a sign that your book’s appeal isn’t quite there yet. One of the collateral benefits to making your book free is it can help you ballpark its overall sexiness. If you’ve got doubts about your book’s surface appeal, take this opportunity to fix it up now. Seriously. It matters.
If your book had a more middle-of-the-road outcome, though, and gave away 300-1000ish copies over its run, awesome. With a little luck, its infrastructure is about to get going. “Infrastructure” is just some crap I made up, but I think of it in terms of all the things about your book that makes it visible and makes it pretty. This includes any number of things. Reviews–onsite, on Goodreads, on blogs, wherever. Alsobots, which is our very clever slang term for the similar/related books a website will recommend to people viewing a specific title. Nice placement on lists (bestseller, popularity, new releases, whatever). And the ever-popular, ever-nebulous word of mouth.
By going free and giving away several hundred copies of your book, you’ll generate a bunch of alsobots that appear on other titles’ product pages that point back to your book. Hooray for visibility! And with a little luck, you’ll pick up a few Amazon reviews in the next few days and weeks, too. Maybe just one or two or three, but assuming they’re generally positive, these are going to help take advantage of your increased visibility by helping to convince anyone browsing your page that a living, breathing, non-you person enjoyed and recommended your book. (Because a real person did enjoy it. Don’t fake reviews. It’ll come back to bite you.) People might start reviewing your book on Goodreads, too–they’ll probably be more inclined to do so if its page already exists–which means their friends will see their reviews, which might entice them to check out your book. (More expectations-setting: Goodreads reviews are generally much harsher than Amazon. On Goodreads, 3 stars generally means they liked it. Didn’t love it, but liked it. That’s more like a 4-star review over on Amazon.)
You may wind up with a handful of sales in the first few days after your free run, too. Always an awesome feeling. These will probably slow down all too soon. But between alsobots (hopefully!) and reviews (hopefully!), maybe instead of selling 1/month, you’re selling 1/week. Or instead of 1/week, you’re up to 1/day.
These are small gains. Frustratingly small, probably. Well quit whining, whiner! Ha ha, sorry. But really, right now, every gain is a gain. And there’s a less-tangible gain going on here, too. Through this process, you are learning. At least you better be learning! Again, sorry. You’re learning how to sell books in general and how to sell this book in specific. That’s going to make this whole business much easier down the road.
For now, that’s it. I mean, if you want, you can tweet and blog and Facebook and pursue book bloggers about your book. That could help. It’s probably better than nothing. It makes me feel like a jerk, though, and it’s very time-consuming, so I don’t do any of that stuff. Except blog here. Because I enjoy it. That is the real secret to self-promotion: find what you like, and do that.
Otherwise, there’s not much more you can do for now. Watch your book for 2-4 weeks. Most of all, you’re looking for reviews. You’re going to want 5+ of them, ideally with an average of 4.0 or better. Having done a giveaway is risky at this early stage, because a couple of poor negative reviews right off the bat can turn this process into an uphill slog, but I think it’s worth the risk. Just be aware that this could happen.
Hopefully you can get these initial mostly-positive reviews just through your giveaway and through normal sales, but if they’re not coming, you may want to spend time actively pursuing them. Again: please be ethical. Sockpuppets stink. Paid reviews are against Amazon’s policy, too. Don’t fall prey to temptation. This is a game of patience. This won’t be your only book, right? Then act with the same class you’d like to be known for in a year or five or twenty, when you have many books and many fans.
While you wait, work on your next novel. Learn more about the business by reading blogs or Kindleboards or whatever. Try not to obsess. Almost everyone sucks at first. Like I said, it was a full 12 months before I started selling more than 5-20 books per month.
What you’re gearing up for here is your second giveaway. A giveaway with a much better chance to hit it big and push your book up to the next plateau.
A giveaway which–cliffhanger!–will be the subject of my next post.
Over the last few months, I’ve grown disillusioned enough with Amazon Select to pull my book Breakers from the program. Yesterday, its exclusivity expired. Today, Breakers is available on Barnes & Noble for the Nook reader.
It should be in Kobo as well at some point, but it appears to be stuck in publishing at the moment.
Selling beyond Amazon is a tricky proposition. Amazon has a lot of different places for a book to be discovered–bestseller lists for free and paid titles, popularity lists, hot new releases, alsobots, email recommendations, its internal search engine, etc. Between all these venues, as well as the Select program, it’s possible–not easy, but possible–to actively sell your book through a number of different methods. Methods which authors talk about all over the place.
For stores like iTunes and Barnes & Noble, however, the only really effective method I’ve heard about is “write a series and make book one free.” Common wisdom holds it’s possible for romance and erotica to sell well on B&N. Everything else, however, tends to sink into the morass, which is why, when it comes to the non-Amazon storefronts, indie authors’ most common reaction is the e-equivalent of throwing up their hands and muttering to themselves.
Self included. The entirety of my non-Amazon strategy to date has been to make one of my novellas free for nearly a year. That did approximately nothing to spur sales of my other titles, even before I started pulling them to go into Select. And in the first two months since returning to paid, that novella has sold 11 copies on iTunes and 0 on B&N.
In other words, I’m clueless.
But that’s what I’m hoping to address now. I know that Breakers can sell when it’s in front of people, so unlike my other titles, if I can find a way to get it some visibility in the other stores, it should sell. Hypothetically. So how do you find that visibility?
With B&N, new releases appear to get a bit of it. Since going live over there, Breakers has sold 3 copies, which a) I’m almost certain is attributable to being automatically added to the new release listings, and b) has already made me more money than I’ve ever made in a single month at B&N. New releases seem to be listed for up to 90 days over there. The default sorting appears to be by “Top Matches,” whatever that means. It could be an algorithm of some kind, or it could be codeword for “a big publisher paid us for this placement.”
Virtually everything on the first 100 default titles of Science Fiction & Fantasy, All New Releases is a trad book priced between $7.99-14.99. The few exceptions near the top are trad authors publishing short works (Terry Brooks and Laurell K. Hamilton). There are a handful of indies in the last ~30, some of which are free. All of these books have nice sales ranks. If you’ve got a series, it might be smart to start it out in Select, then pull it out once you’ve got 3+ titles and try to create instant momentum for the rest of the series by making the first book free and hoping its New Release placement will pull the rest of your books along behind it.
Beyond that, though, it looks like B&N shoppers have to do some pretty active searching to find any new releases that aren’t big bestsellers. Bummer.
Bestseller rank on B&N is less volatile/more sluggish than on Amazon, by the way. For instance, a single sale of a new release on Amazon would put your initial rank around #50,000; Breakers, with three sales (only one of which might be counted toward its rank) is currently #379,078 on B&N. I saw the same thing with my free title: over the months, roughly 1000 downloads pushed it up to something like #15,000 in the ranks. With no paid sales three months later, it’s still at #51,251.
What this means in practice is it’s harder to attain a high rating, but once you do, it’s easier to stay sticky. This is another reason trad books sell much better there while indie books have a hard time gaining traction. But if you’re an indie with a big old fanbase, you can probably do pretty well for yourself.
Well, none of this is encouraging so far. On the plus side: 3 sales so far isn’t nothing. If I wind up averaging just 1/day at B&N, I’ll consider it a success.
I’ll try to come back to my progress at B&N a week from now. By then, I hope to be up and running at Kobo as well. I’ve also applied to sell directly through iTunes, but I have no idea when or if I’ll be granted access. I probably should have applied for that weeks or months in advance. Learn from my mistakes, people!